Ireland Working Family Payment – Income Limit and Eligibility for WFP!

The Working Family Payment is a weekly tax-free support for low-income workers with children in Ireland. Eligibility hinges on employment, income, and family size, with payments calculated as 60% of the income shortfall below set thresholds.

Ireland Working Family Payment 

The WFP is a financial support program in Ireland designed to assist employees with children who are on low incomes. It is a weekly tax-free payment that aims to provide additional support to working families, ensuring that work pays more than social welfare. 

The WFP was formerly known as the FIS. To be eligible for the WFP, applicants must meet certain criteria. They must be employed and work a minimum of 38 hours in a fortnight, which can be combined across multiple jobs or with the hours worked by a spouse, civil partner, or cohabitant. 

Applicants must have at least one child who normally lives with them, who is either under 18 years of age or between 18 and 22 years of age if they are in full-time education. 

60% of the difference between a family’s average weekly income and the income ceiling determined for their family size is used to determine the amount of the WFP payment.

How is Ireland’s Working Family Payment observed?

The calculation of the WFP in Ireland is based on the family’s income and the number of children in the household. This calculation takes into account the total earnings minus taxes, employee social insurance (PRSI), Universal Social Charge (USC), pension contributions, and any other family income. 

Calculation Formula: The payment amount is calculated using the following formula: WFP Payment=60%×(Income Limit−Average Weekly Family Income)

Suppose a family with three children has a total weekly family income of €350. The income limit for a family of this size is €847. To calculate the WFP, we would:

  • Subtract the total family income from the income limit:
  • €847(income limit)−€350(family income)=€497
  • Calculate 60% of the difference:
  • 60%×€497=€298.2
  • Round up to the nearest euro (if necessary):
  • The WFP payment would be €298 per week for this family.

The WFP is paid directly into the recipient’s bank or building society account, excluding mortgage accounts, and is reassessed annually. During the year, the payment amount remains constant regardless of any fluctuations in income. 

However, recipients can request a reassessment if there are significant changes to their circumstances, such as the addition of a child to the family or the cessation of a One-Parent Family Payment due to the child reaching the age limit.

What are the income limits for Ireland Working Family Payments?

The income limits for the Working Family Payment (WFP) in Ireland for the year 2024 are as follows:

Number of Children Income Limits 
€645
2 €746
3 €847
4 €938
5 €1064
6 €1180
7 €1316
8 or more  €1412

These income limits determine eligibility for the WFP, and the payment amount is calculated based on the difference between the family’s average weekly income and the applicable income limit for their family size.

Who can get Ireland’s Working Family Payment? 

The Working Family Payment (WFP) in Ireland is available to employees who meet the following criteria:

  • Applicants must be living in Ireland.
  • They must be employed and work at least 38 hours every fortnight. These hours can be combined from different jobs or with the hours worked by a spouse, civil partner, or cohabitant.
  • The job must be likely to last at least three months.
  • The applicant’s family must include at least one child. The child must be under 18 years of age, or between 18 and 22 years of age if they are in full-time education.
  • The family’s average weekly income must be below a certain amount for their family size, which is set by the WFP income limits.
  • Applicants must pay tax and social insurance (PRSI) in Ireland.
  • Additionally, under EU regulations, employees may claim WFP even if their children live abroad but are financially dependent on them. 

Which schemes could disqualify me from the Ireland Working Family Payment?

Certain schemes and social welfare payments can disqualify you from receiving the Working Family Payment in Ireland. As of 2024, you cannot claim WFP if you are participating in the following:

  • Community Employment Scheme
  • Rural Social Scheme
  • Tús scheme
  • Jobseeker’s Benefit
  • Jobseeker’s Allowance
  • Jobseeker’s Transitional payment
  • Farm Assist
  • Part-Time Job Incentive Scheme

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